The following is part of as series I plan on writing for my Blog. As an agent in Sunriver, Oregon I often get the same questions regarding the purchase of a second home that would/could be a vacation rental. So consider this a part of my Q & A series. Please check back as I plan on posting 10 - 12 of these in the next two weeks.
How much rental income could I make if I owned a SR vacation rental?
It depends on many variables: Condition and location of home, how many people the home sleeps, amenities (hot tub, bikes, pool table etc) and who manages the property. More specific numbers to come.
What do property management companies charge?
On average they charge a 30% commission plus maid's fees, monthly management fees and other maintenance fees (fixing things, plowing driveways etc). A good rule of thumb is that you will NET around 50-60% of the GROSS after commissions and fees are backed out. Keep in mind this does not include your monthly bills (utility/mortgage etc.)
If you do hire a property management company to manage all aspects of your vacation rental you can still rent the home yourself and you will be charged a reduced commission. RE/MAX Sunset Realty charges 14% for owner bookings. This percentage will vary from company to company.
For a list of all Q and A's email me and I'll send you a pdf.